HIGHLIGHTS
· MARKET TREND—Sharply higher: CN, Up $.0875; SN: Up $.1425; WN: Up $.04; KWN: Up $.04
· MACRO: Rising corporate debt is a cause for systemic risk concern in China and the global economy—IMF-- former at 145% of GDP. ASIA: Yen surges, Nikkei falls 3.5%; Shanghai tumbles 3.2%; Hang Seng fades 2.5%. EUROPE: weaker with CAC, -1.4%; DAX, -1.2%; FTSE -.6%. WALL STREET: Futures are lower—DOW, -67: S&P, - 8 ¼; NAS, -21. EXTERNALS: The $ Index , -.021 @ 94.61 gold, +$12.00 @ $1,86.40; July crude, down $.58 at $48.49/barrel
· T-storm Weather: Two systems triggers thunderstorms across the central/northern Plains and Corn Belt over the next several days, most notably over Mon.-Fri. Widespread rain results, but the exact setup at any point in time cannot be determined. Pockets of thunderstorms to occur at all times; generally in western areas into Wed., then eastern areas Wed.-Fri. Amounts are decreased to 0.50”-1.25” across the southeast half of the Corn Belt and Delta and left at 1.00”-2.00” across the northwest and adjacent areas of the Plains. Heat continues through midweek before cooling to normal for several days starting Wed.-Thu.
· CN, Up $.0875 @ $4.3175; CZ, Up $.1025 @ $4.4125. The funds sold 5 k on Friday
· SN, Up $.14 @ $11.82; SX, Up $.1675 @ $11.7950. Funds: Bought 4 K SB, 3 K SBM and sold K SBO
· WN, Up $.04 @ $4.99; WUUp $.0450 @ $5.11. The funds sold 6 K
CORN/SORGHUM          
·   USDA Crop Progress: Good/Excellent corn crop ratings could be steady v. last week’s 75%. Ratings last year were 73%
· Export Inspections released at 10 AM CDT; Corn, 55.4 needed; 42.0 last week. Milo—4.0 needed; 2.6 last week
· ATI Research: USDA on Friday increased U.S. 15/16 corn exports 100 mbu after a 3.5 MMT reduction in size of Brazil’s corn crop. Corn exports from Brazil also lowered by 3.5 MMT to 22.5, which is down nearly 12.0 MMT from 14/15
· T-storm Weather: Intensely hot and dry weather occur in/near the central and southern Plains starting next weekend and continuing June 18-25 with above-normal warmth with heat at times elsewhere. Some thunderstorms occur from the northern Plains through the northeast half of the Corn Belt where 0.50”-1.00” is most likely next week
SOYBEANS/WHEAT
· USDA Crop Progress: U.S. soybean planting est. at 89-94% vs. approx. 85% last year and 88% for the 5-year avg. Good/Excellent crop ratings for soybeans could be steady compared to last week’s 72% but above last year’s 67%
· Export Inspections released at 10 AM CDT; Soybeans, 13.4 needed; 3.6 last week
· ATI Research: World ending soybean stocks est. to fall 12.0 MMT since end of 14/15; production only up 4.0 MMT
· USDA Crop Progress: U.S. winter wheat harvest est. at 8-13% vs. approx. 9% last year and 18% for the 5-year avg.
· Export Inspections released at 10 AM CDT; Wheat, 17.2 needed; 14.3 last week
ENERGY
· Lower: CLN16, -$0.58, $48.49; EBQ, -$0.42; EBQ-CLN, +$1.62,+$0.15; RBN, -$.0202; NGN, +0.038; HON, -$.0088
· Cash ethanol markets remained mixed on Friday: Chicago steady; New York up 1; Gulf down 1; Dallas steady; Tampa increased ½; and LA was unchanged at $1.82 per gallon
· Ethanol RINs lower: 2014’s down 1 at 82 ½-83; 2015’s off 1 at 82 ½-83; and 2016’s were 1 lower at 82 ¼-82 ¾
· The July RBOB/July inverse increased 4 cents on Friday to -.0974/gallon
LIVESTOCK/POULTRY  
· Choice boxed beef values were 82-cents higher on Friday at $227.67, and are up $5.06 vs. last week
· Light cash cattle trade Friday afternoon in the North; dressed sales ranged from $207-$210—up $1-$3 vs. a week ago
· USDA mandatory pork carcass cutout value was $1.31 lower on Fri. at $85.84, but is up 54-cents vs. last week
· CME Lean Hog Index was $0.66 higher on Fri. at $80.42. June futures eased $0.40 but are still $1.855 above the index
Sources: Bloomberg, Dow Jones, AP, T-storm Weather